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~. <br />Orange County Alcoholic Beverage Control Board Agenda Item <br />Report to the Board of Orange County Commissioners <br />Subject: Information on other States' ABC Framework/Systems <br />Meeting Date: June 16, 2009 <br />1. Introduction <br />a. Overview: The purpose of this report is to provide the Board of Orange <br />County Commissioners with information on other states' alcoholic <br />beverage control framework/systems. <br />b. History -Alcoholic Beverage Control: The 18th amendment which <br />abolished "intoxicating liquors" was repealed by the 21St amendment on <br />December 3, 1933. This amendment ended prohibition but it did not <br />provide a framework for states to determine how alcohol was to be <br />controlled. Apparently, each state developed its own set of regulations. <br />North Carolina established astate-wide system in 1937. The Orange <br />County ABC Board was established in 1959. <br />2. Control and License Jurisdictions: <br />a. Control Jurisdictions: <br />i. These jurisdictions are directly engaged in the sale of distilled <br />spirits and, in some cases, wine and malt beverages. All exercise <br />control over whole distribution. Many exercise control of retail <br />package sales through government-operated stores or contracted <br />agency outlets, while the remaining jurisdictions sell at wholesale <br />to private beverage retailers. Control States license and regulate all <br />members of the beverage alcohol industry which do business in <br />their state, .including manufacturers, importers, wholesalers, and <br />on/off premises retailersl. <br />ii. North Carolina is considered a "Control" State. <br />iii. A list of Control Jurisdictions is included in Attachment "A': <br />b. License Jurisdictions: <br />i. Unlike Control Jurisdictions, License Jurisdictions do not <br />participate directly in the sale of alcohol beverages. Wholesale and <br />retail sales of distilled spirits and wine are conducted by private <br />businesses. License Jurisdictions license and regulate all members <br />of the beverage alcohol industry which do business in their states, <br />including manufacturers, importers, wholesalers, and on/off <br />premises retailersl. <br />ii. This system is also referred to as "privatized". <br />iii. A list of License Jurisdictions is included in Attachment "A': <br />' Description of Control Jurisdiction -Source: National Alcohol Beverage Control Association, Survey <br />Book: 2008, page ii. <br />2 Description of License Jurisdiction -Source: National Alcohol Beverage Control Association, Survey <br />Book: 2008, page ii. <br />Page 1 of 3 pages <br />